Introduction
With the Automated Granting (Beta) feature, you can set up rules that allow Ledgy to automatically create draft grants for your stakeholders. This feature also enables you to generate grant documents and draft signature requests with a single click, streamlining the entire granting process.
In this article, we'll guide you through the process of configuring automated granting rules, explaining how to set up filters, define grant amounts, and trigger the automation to apply grants seamlessly.
This is a Beta feature. Don't hesitate to get in touch with [email protected] if you have any questions or issues.
How to create and run automation rules for granting
Navigate to Company Settings > Data Management, then click the Add automation rule button under the Automated granting section.
Rule settings:
Give the rule a name
Define which stakeholders the rule applies to. Set up filters by stakeholder custom fields, e.g. department, seniority, etc. and employment fields.
⚠️ Note: filters are additive, meaning that stakeholders must match all conditions for a rule to apply to them. You can use ‘OR’ conditions to select multiple values for a given filter. For example: you may want to apply the same rule to employees across multiple entities, and of multiple seniorities.
Default Employment fields which you can use as filter conditions:
terminationDate,
employmentStatus,
jobTitle,
payRate,
payPeriod,
payCurrency,
employmentType,
team,
workCity,
workCountry,
manager
Define which plan the grant should come from
Define the grant amount, either by:
Note: To use the percentage of salary calculation, we need the following fields from HRIS:
payRate&payPeriod. PayPeriod is mandatory and payRate is optional. Further, if payPeriod is not provided, we assume that the payRate is annual.
Decide if the rule should be applied automatically upon HRIS sync
✅ If enabled, the automated granting rule will run on each HRIS sync on any new stakeholder matching the filters. Previously existing stakeholders will not be affected. You can see in the preview which stakeholders will receive grants prior to any sync.
⛔ If disabled, you can still run all rules manually to bulk grant to stakeholders from the stakeholders list.
Once a rule is created and you're ready to proceed with granting, click Run next to the rule.
A modal will then pop-up with an overview of which stakeholders will be granted equity. If you're happy to proceed, click Run rule.
Ledgy will then generate draft grant transactions under Ownership > Transactions according to the specified rules. If applicable, the automation will create grant documents and draft signature requests, using document templates defined at the Plan level.
As the grant transactions are only in draft, the admin has the opportunity to review these before publishing them
Required access rights for automated granting
For simple access rights: user must have Admin or Owner Collaborator access
For custom access rights: custom role must have the following access enabled:
data management settings+view employee equity distribution+view documents and signatures+view stakeholders+has ALL stakeholder access
How to define the grant amount?
1. A fixed amount
Choose an amount of units to be given out in the grant, i.e. the number of options or phantoms, etc.
The same amount will be given to all stakeholders to which the rule conditions apply
2. Percentage of salary
The value of the grant will be calculated based on a percentage of their salary (synced from your HRIS)
Usually, the percentages are different by department/team and seniority (all stakeholder fields synced from your HRIS)
In order to calculate the grant amount, it is necessary also to provide a share price to be used for the calculations:
Basically
grant value = salary * percentage
grant amount = grant value / share price
or in another way
grant amount = percentage of salary / share price
3. Getting the grant amount from your HRIS
Set up the grant amount field in HRIS: The “Grant amount” field on your HRIS must contain whole numbers and must be accessible by the permissions you have set up for Ledgy. Placing this field under “Employment” data is often effective because Ledgy already accesses related fields like job title.
Contact Ledgy support to map the HRIS field to Ledgy’s field via chat.
On Ledgy in Data Management > HR System Integration > Click “Configure” and toggle “Import grant amount from HR”
Trigger a resync by Clicking “sync” and clicking “Retrieve now”.
You should see a list of stakeholders with valid grants amounts.
Wait for the resync to finish, and afterwards, click “Sync now” to sync the grant amount data to the Ledgy stakeholders.
In the Automated Granting rule, ensure that the rule is set to “Amount” and that “Input custom amount” is disabled. Save any changes needed.
You’re done! Now that the new Grant Amount data is saved to the stakeholder, clicking “Run rule” for the automated granting rule will show the grants that will be created with HRIS data. Don’t see anything? Make sure you synced the data!
Limitations
Plan: Scale
Fractional shares are currently not supported. You can still use the automated granting feature. However, our calculation does not produce fractional grant amounts. We always round to the closest integer.
Salary
Multiple currencies for salaries (we currently treat everything submitted in the salary field per the company’s defined base currency in Ledgy)
Currently, there is no validation for filters in place, meaning users are responsible for making sure filters make sense together. For example, there is nothing preventing you from setting multiple filter value conditions on the same field (e.g.
department must be “sales”then add another filterdepartment must be “CX”), which would lead to no results.
Supported HRIS:
Supported HRIS:
7 shifts
ADP Workforce
AlexisHr
Altera Payroll*
BambooHr
Breathe
Ceridian Dayforce
Charlie HR
ChartHop
Deel
Factorial
Freshteam
Gusto
Hibob
HR cloud
Hr Partner
Humaans
IntelliHr
Namely
Nmbrs*
Officient
OysterHR
PayCaptain*
Paychex
Paycor
Paylocity
PeopleHR
Personio
Proliant
Rippling (support of fields dependent on when the customer created the API token)
Sage HR
SAP SuccessFactors*
Sapling
Square Payroll
TriNet
UKG Pro
UKG Ready
Workday
Zenefits
*These HRIS are supported but only work if users have their salary input in HRIS as an annual salary.
FAQ
Why don't you take the latest share price from the cap table when I set up a granting rule by salary percentage?
There are use cases where you want a different share price than your latest share price from your cap table. We’d also give you the option to create multiple rules with different share prices.
How is the salary interpreted for different pay periods?
We use the annual salary to calculate the grant amounts. If the pay period value is ‘annual’, we will use the salary value directly to calculate grants. If the pay period is more granular (e.g. ‘monthly’, ‘daily’, ‘weekly’, etc), then we will use a conversion factor to calculate the annual salary.
If pay period is unset or it's an unrecognised value, we assume the salary is annual.